They are the result of an organisational restructure announced to the Opera House’s 733 staff yesterday.

The restructure was designed to give the Opera House a flatter management team, and follows advice from the Boston Consulting Group, which analysed its operations in January.

It comes after significant declines in two of five non-government revenue streams. Mr Evans attributed these to the global downturn, which hit tourism numbers and corporate hiring of various venues.

Income from backstage tours and other tourist-related events fell 10 per cent below expectations in 2009-10, with corporate events revenue falling 30 per cent below budget for the same period. Some areas of food and beverage sales were also down, although Mr Evans said they were flat overall.

The art itself held up – that is, box office income from ticket sales and venue hire fees from show promoters.

“Entertainment generally stays up during a downturn. Some art forms were up and some down, but on average it was ok."

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Mr Evans said a stringent cost saving program meant the Opera House made a $1.2 million operating profit for 2009-10, but with the revenue lines going in the wrong direction, and it having to earn 84 per cent of its revenue, changes had to be made.

The Opera House will make a $14.4 million group loss for 2009-10, which Mr Evans said mostly reflected depreciation of Jorn Utzon’s 38-year- old performing arts centre.

Mr Evans pointed out that the cuts represented less than 3 per cent of staff and 2 per cent of the organisation’s $100 million operating budget.

Two senior positions have already been abolished. The head of commercial and operations, Maria Sykes ,who resigned recently by after seven years in the job, will not be replaced. And the director of performing arts, Rachel Healy, has decided to leave after four years in the role rather than take a demotion after her job was effectively split in two.

There will be no cuts to in-house programming, which now accounts for about 25 per cent of audiences.

“We’re looking to generate more revenue . . . as a result of the restructure to reinvest more into free public programs, education and our programming itself,’’ Mr Evans said. “The amount of self-programing will not decline but we may see some changes in priorities, which will be determined by audience analysis."

The House has overhauled its dining options and in December will launch a new food precinct, Opera Kitchen, which will feature a bakery and burger outlet by Becasse restaurant’s Justin North and some upmarket fish and sushi/sashimi bars.